Amkor Technology Reports Financial Results for the Fourth Quarter and Full Year 2025

TEMPE, Ariz.--( BUSINESS WIRE)--Amkor Technology, Inc. (Nasdaq: AMKR), a leading provider of semiconductor packaging and test services, today announced financial results for the fourth quarter and full year ended December 31, 2025.

Fourth Quarter 2025 Highlights:

Full Year 2025 Highlights:

“2025 was a pivotal year for Amkor. We delivered strong results with record Advanced packaging and Computing revenue, executed on our strategic initiatives, and strengthened our position in the fastest growing areas of the semiconductor industry,” said Kevin Engel, Amkor’s president and chief executive officer. “We enter 2026 with momentum and are accelerating strategic investments to support the next wave of advanced packaging growth.”

Financial Results

($ in millions, except per share data)

Q4 2025

Q3 2025

Q4 2024

2025

2024

Net sales

$1,888

$1,987

$1,629

$6,708

$6,318

Gross margin

16.7%

14.3%

15.1%

14.0%

14.8%

Operating income

$185

$159

$134

$467

$438

Operating income margin

9.8%

8.0%

8.3%

7.0%

6.9%

Net income attributable to Amkor

$172

$127

$106

$374

$354

Earnings per diluted share

$0.69

$0.51

$0.43

$1.50

$1.43

EBITDA (1)

$369

$340

$302

$1,162

$1,091

Net cash provided by operating activities

$1,096

$1,089

Annual free cash flow (1)

$308

$359

(1)

EBITDA and free cash flow are non-GAAP measures. The reconciliations to the comparable GAAP measures are included below under “Selected Operating Data”.

At December 31, 2025, total cash and short-term investments was $1.99 billion, and total debt was $1.45 billion.

On November 12, 2025, Amkor’s Board of Directors announced a 1% increase in the quarterly cash dividend on the company’s common stock, from $0.08269 per share to $0.08352 per share. The increased quarterly dividend was effective with dividend paid on December 23, 2025. The declaration and payment of future dividends, as well as any record and payment dates, are subject to the approval of the Board of Directors.

Business Outlook

The following information presents Amkor’s guidance for the first quarter 2026 (unless otherwise noted):

Conference Call Information

Amkor will conduct a conference call on Monday, February 9, 2026, at 5:00 p.m. Eastern Time. This call may include material information not included in this press release. To access the live audio webcast and the accompanying slide presentation, visit the Investor Relations section of Amkor’s website, located at ir.amkor.com. The live call can also be accessed by dialing 1-877-407-4019 or 1-201-689-8337.

About Amkor Technology, Inc.

Amkor Technology, Inc. (Nasdaq: AMKR) is the world’s largest U.S. headquartered OSAT and is a global leader in outsourced semiconductor packaging and test services. With a strong track record of innovation, a broad and diverse geographic footprint and solid partnerships with lead customers, Amkor delivers high-quality solutions that enable the world’s leading semiconductor and electronics companies to bring advanced technologies to market. The company’s comprehensive portfolio includes advanced packaging, wafer-level processing, and system-in-package solutions targeting applications for smartphones, data centers, artificial intelligence, automobiles and wearables. For more information visit amkor.com.

AMKOR TECHNOLOGY, INC.

Selected Operating Data

Q4 2025

Q3 2025

Q4 2024

2025

2024

Net Sales Data:

Net sales (in millions):

Advanced products (1)

$1,580

$1,684

$1,357

$5,556

$5,175

Mainstream products (2)

308

303

272

1,152

1,143

Total net sales

$1,888

$1,987

$1,629

$6,708

$6,318

Packaging services

89 %

88 %

89 %

Test services

11 %

12 %

11 %

Net sales from top ten customers

72 %

73 %

72 %

End Market Distribution Data:

Communications (smartphones, tablets)

49 %

51 %

44 %

46 %

48 %

Computing (data center, infrastructure, PC/laptop, storage)

19 %

21 %

20 %

19 %

Automotive, industrial and other (ADAS, electrification, infotainment, safety)

18 %

16 %

17 %

19 %

18 %

Consumer (AR & gaming, connected home, home electronics, wearables)

14 %

18 %

15 %

Total

100 %

Gross Margin Data:

Net sales

100.0 %

Cost of sales:

Materials

56.5 %

57.5 %

54.8 %

55.2 %

55.1 %

Labor

9.5 %

9.2 %

9.9 %

10.4 %

9.9 %

Depreciation

8.0 %

7.5 %

8.4 %

8.7 %

8.5 %

Other manufacturing

9.3 %

11.5 %

11.8 %

11.7 %

Gross margin

16.7 %

14.3 %

15.1 %

14.0 %

14.8 %

(1)

Advanced products include flip chip, memory and wafer-level processing and related test services.

Mainstream products include all other wirebond packaging and related test services.

In this press release, we refer to EBITDA, which is not defined by U.S. GAAP. We define EBITDA as net income before interest expense, income tax expense and depreciation and amortization. We believe EBITDA to be relevant and useful information to our investors because it provides additional information in assessing our financial operating results. Our management uses EBITDA in evaluating our operating performance, and our ability to service debt, fund capital expenditures and pay dividends. However, EBITDA has certain limitations in that it does not reflect the impact of certain expenses on our consolidated statements of income, including interest expense, which is a necessary element of our costs because we have borrowed money in order to finance our operations, income tax expense, which is a necessary element of our costs because taxes are imposed by law, and depreciation and amortization, which is a necessary element of our costs because we use capital assets to generate income. EBITDA should be considered in addition to, and not as a substitute for, or superior to, operating income, net income or other measures of financial performance prepared in accordance with U.S. GAAP. Furthermore, our definition of EBITDA may not be comparable to similarly titled measures reported by other companies. Below is our reconciliation of EBITDA to U.S. GAAP net income.

Non-GAAP Financial Measures Reconciliation:

(in millions)

Q4 2025

Q3 2025

Q4 2024

2025

2024

EBITDA Data:

Net income

173

127

106

376

356

Plus: Interest expense

Plus: Income tax expense

Plus: Depreciation & amortization

166

164

149

642

595

EBITDA

369

340

302

1,162

1,091

In this press release, we refer to free cash flow, which is not defined by U.S. GAAP. We define free cash flow as net cash provided by operating activities less payments for property, plant and equipment, plus proceeds from the sale of, insurance recovery for and grants for property, plant and equipment, if applicable. We believe free cash flow to be relevant and useful information to our investors because it provides them with additional information in assessing our liquidity, capital resources and financial operating results. Our management uses free cash flow in evaluating our liquidity, our ability to service debt, our ability to fund capital expenditures and our ability to pay dividends and the amount of dividends to be paid. However, free cash flow has certain limitations, including that it does not represent the residual cash flow available for discretionary expenditures since other, non-discretionary expenditures, such as mandatory debt service, are not deducted from the measure. The amount of mandatory versus discretionary expenditures can vary significantly between periods. This measure should be considered in addition to, and not as a substitute for, or superior to, other measures of liquidity or financial performance prepared in accordance with U.S. GAAP, such as net cash provided by operating activities. Furthermore, our definition of free cash flow may not be comparable to similarly titled measures reported by other companies. Below is our reconciliation of free cash flow to U.S. GAAP net cash provided by operating activities.

Non-GAAP Financial Measures Reconciliation:

(in millions)

2025

2024

Free Cash Flow Data:

Net cash provided by operating activities

1,096

1,089

Less: Payments for property, plant and equipment

(905

)

(744

)

Plus: Proceeds from sale of and grants for property, plant and equipment

117

Free cash flow

308

359

AMKOR TECHNOLOGY, INC.

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share data)

(Unaudited)

For the Three Months

Ended December 31,

For the Year Ended

December 31,

2025

2024

2025

2024

Net sales

1,888,046

1,629,118

6,707,981

6,317,692

Cost of sales

1,573,417

1,382,408

5,769,382

5,384,480

Gross profit

314,629

246,710

938,599

933,212

Selling, general and administrative

92,930

69,427

304,471

331,806

Research and development

36,731

42,848

166,743

162,951

Total operating expenses

129,661

112,275

471,214

494,757

Operating income

184,968

134,435

467,385

438,455

Interest expense

20,594

17,079

75,444

64,945

Other (income) expense, net

(16,845

)

(18,233

)

(52,678

)

(57,506

)

Total other (income) expense, net

3,749

(1,154

)

22,766

7,439

Income before taxes

181,219

135,589

444,619

431,016

Income tax expense

8,690

29,788

68,503

75,481

Net income

172,529

105,801

376,116

355,535

Net income attributable to noncontrolling interests

(768

)

(152

)

(2,221

)

(1,523

)

Net income attributable to Amkor

171,761

105,649

373,895

354,012

Net income attributable to Amkor per common share:

Basic

0.69

0.43

1.51

1.44

Diluted

0.69

0.43

1.50

1.43

Shares used in computing per common share amounts:

Basic

247,221

246,654

247,082

246,344

Diluted

249,076

247,864

248,454

247,818

CONSOLIDATED BALANCE SHEETS

(In thousands)

(Unaudited)

December 31,

2025

2024

ASSETS

Current assets:

Cash and cash equivalents

1,378,347

1,133,553

Short-term investments

613,038

512,984

Accounts receivable, net of allowances

1,354,825

1,055,013

Inventories

437,797

310,910

Other current assets

100,754

61,012

Total current assets

3,884,761

3,073,472

Property, plant and equipment, net

3,870,808

3,576,148

Operating lease right of use assets

93,449

109,730

Goodwill

18,003

17,947

Restricted cash

67,776

759

Other assets

201,512

166,272

Total assets

8,136,309

6,944,328

LIABILITIES AND EQUITY

Current liabilities:

Short-term borrowings and current portion of long-term debt

162,430

236,029

Trade accounts payable

912,766

712,887

Capital expenditures payable

243,543

123,195

Short-term operating lease liability

23,140

26,827

Accrued expenses

370,093

356,337

Total current liabilities

1,711,972

1,455,275

Long-term debt

1,282,816

923,431

Pension and severance obligations

69,218

70,594

Long-term operating lease liabilities

48,549

57,983

Other non-current liabilities

517,467

253,880

Total liabilities

3,630,022

2,761,163

Amkor stockholders’ equity:

Preferred stock

—

Common stock

294

293

Additional paid-in capital

2,054,051

2,031,643

Retained earnings

2,627,038

2,335,132

Accumulated other comprehensive income

16,833

7,510

Treasury stock

(227,110

)

(225,033

)

Total Amkor stockholders’ equity

4,471,106

4,149,545

Noncontrolling interests in subsidiaries

35,181

33,620

Total equity

4,506,287

4,183,165

Total liabilities and equity

8,136,309

6,944,328

AMKOR TECHNOLOGY, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

For the Year Ended

December 31,

2025

2024

Cash flows from operating activities:

Net income

376,116

355,535

Depreciation and amortization

642,008

594,663

Other operating activities and non-cash items

(37,545

)

25,303

Changes in assets and liabilities

115,027

113,367

Net cash provided by operating activities

1,095,606

1,088,868

Cash flows from investing activities:

Payments for property, plant and equipment

(904,614

)

(743,796

)

Proceeds from sale of property, plant and equipment

110,279

3,981

Proceeds from foreign exchange forward contracts

58,629

47,045

Payments for foreign exchange forward contracts

(63,781

)

(88,623

)

Payments for short-term investments

(828,392

)

(568,711

)

Proceeds from sale of short-term investments

306,494

65,502

Proceeds from maturities of short-term investments

429,952

474,097

Other investing activities

6,389

10,181

Net cash used in investing activities

(885,044

)

(800,324

)

Cash flows from financing activities:

Proceeds from short-term debt

—

5,012

Payments of short-term debt

—

(9,731

)

Proceeds from long-term debt

1,096,067

172,651

Payments of long-term debt

(809,531

)

(177,214

)

Payments of finance lease obligations

(89,942

)

(72,255

)

Payments of dividends

(81,946

)

(178,605

)

Other financing activities

(15,948

)

(290

)

Net cash provided by (used in) financing activities

98,700

(260,432

)

Effect of exchange rate fluctuations on cash, cash equivalents and restricted cash

2,549

(14,417

)

Net increase in cash, cash equivalents and restricted cash

311,811

13,695

Cash, cash equivalents and restricted cash, beginning of period

1,134,312

1,120,617

Cash, cash equivalents and restricted cash, end of period

1,446,123

1,134,312

Forward-Looking Statement Disclaimer

This press release contains forward-looking statements within the meaning of the federal securities laws. You are cautioned not to place undue reliance on forward-looking statements, which are often characterized by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” “continue” or “intend,” by the negative of these terms or other comparable terminology or by discussions of strategy, plans or intentions. All forward-looking statements in this press release are made based on our current expectations, forecasts, estimates and assumptions. We assume no obligation to review or update any forward-looking statements to reflect events or circumstances occurring after the date of this press release, except as may be required by applicable law. Because such statements include risks and uncertainties, actual results may differ materially from those anticipated in such forward-looking statements as a result of various factors, including, but not limited to, the following:

Other important risk factors that could affect the outcome of the events set forth in these statements and that could affect our operating results and financial condition are discussed in the company’s Annual Report on Form 10-K for the year ended December 31, 2024 (the “Form 10-K”) and from time to time in our other reports filed with or furnished to the Securities and Exchange Commission (“SEC”). You should carefully consider the trends, risks and uncertainties described in this press release, the Form 10-K and other reports filed with or furnished to the SEC before making any investment decision with respect to our securities. If any of these trends, risks or uncertainties continues or occurs, our business, financial condition or operating results could be materially and adversely affected, the trading prices of our securities could decline, and you could lose part or all of your investment. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by this cautionary statement. We assume no obligation to review or update any forward-looking statements to reflect events or circumstances occurring after the date of this press release except as may be required by applicable law.